Top news and publications
- Strong and simple – speech by Sam Woods
- PRA statement on forthcoming CRD V policy Statement
Regulatory measures for PRA firms in response to coronavirus
Statement by the PRA on Covid guidance for firms
9 November 2020
The PRA published an updated statement on Covid guidance to replace previous guidance for PRA-regulated firms ‘Statement by the PRA on key financial workers who are critical to the Covid-19 response’, in light of updates from the UK Government.
News and speeches
Strong and simple – speech by Sam Woods
12 November 2020
Sam Woods set out the intention of the PRA to implement a ‘strong and simple’ regime for regulating small UK banks and building societies.
Cross cutting publications and updates
Joint statement on the implementation of prudential reforms in the Financial Services Bill
16 November 2020
The Financial Services Bill continues its progress through Parliament. HM Treasury, the FCA and the PRA considered it appropriate to update industry on planned timelines for introducing the UK’s Investment Firms Prudential Regime (IFPR) and implementation of those Basel 3 reforms which make up the UK equivalent to the outstanding elements of the EU’s 2nd Capital Requirements Regulation.
Response to the general insurance industry – A framework for assessing financial impacts of physical climate change
16 November 2020
This report outlines the PRA’s response to industry feedback received on the ‘framework for assessing financial impacts of physical climate change’ report.
The feedback received was collated and discussed by the working group in 2020, you can read the response on the ‘Response to the general insurance industry – A framework for assessing financial impacts of physical climate change’ page. Please note the response is a summary of the industry feedback received rather than PRA expectations.
The Bank’s joint statement in support of the IFRS Foundation’s consultation on sustainability reporting
10 November 2020
As announced at the Green Horizon Summit, the Government–Regulator TCFD Taskforce published a statement of support for the IFRS Foundation’s proposal to establish a new standard setting body for sustainability reporting.
The Government-Regulator TCFD Taskforce was set up to examine the most effective way to approach climate-related financial disclosures. Also announced at the Green Horizon Summit was the recently published Interim Report and Roadmap, more information on which is available below.
Interim Report and Roadmap for implementing the recommendations of the Taskforce on Climate-related Financial Disclosures
9 November 2020
HM Treasury published the interim report of the Government–Regulator TCFD Taskforce, set up to examine the most effective way to approach climate-related financial disclosures, including exploring the appropriateness of mandatory reporting. The report sets out an indicative path to mandatory climate-related financial disclosures across the UK economy.
Equivalence decisions
9 November 2020
The PRA published an update regarding HM Treasury's announcement that the UK will be granting a package of equivalence decisions to the European Economic Area States, including the Member States of the European Union.
Further information
Banking publications and updates
PRA statement on forthcoming CRD V Policy Statement
30 November 2020
This statement explains when to expect further information on the PRA’s approach to transposing Capital Requirements Directive V (CRD V), including its approach to revisions to the definition of capital for Pillar 2A.
PRA publishes 2020 list of systemically important institutions and global systemically important institutions
27 November 2020
The PRA published its 2020 list of UK firms designated as other systemically important institutions, as required under the Capital Requirements Directive (2013/36/EU) (CRD) as implemented in the Capital Requirements (Capital Buffers and Macro-prudential measures) Regulations 2014.
In accordance with Article 131 of the Capital Requirements Directive (2013/36/EU) (CRD), the PRA disclosed the 2020 list of UK headquartered Global Systemically Important Institutions.
For more information visit the Capital Requirement Directive IV webpage.
PS23/20 ‘Market risk: Calculation of risks not in value at risk, and stressed value at risk’
26 November 2020
This PRA Policy Statement (PS) provides feedback to responses to CP15/20 ‘Market risk: Calculation of risks not in value at risk, and stressed value at risk’. It also contains final policy, in the form of the updated Supervisory Statement (SS) 13/13 ‘Market Risk’ (Appendix).
This PS is relevant to all firms to which Capital Requirements Directive IV applies.
Branch Return Form update
20 November 2020
The PRA has included the Branch Return on the BEEDS (Bank of England Electronic Data Submission) system. To facilitate collecting the data in this way, the PRA has updated the Branch Return Excel template to include an XML schema. It has also published the standalone XSD file and a release note which contains instructions on how to submit the template via BEEDS. The PRA will still accept emailed submissions but encourages firms to use BEEDS, as the system will provide prompt feedback against validations, as well as providing a secure route of data submission and a clearer audit trail. An updated version of the template is on the Regulatory reporting – Banks, building societies and investment firms page.
Letter from Sarah Breeden ‘Remediation of prudential treatment of legacy instruments’
16 November 2020
Sarah Breeden sent a letter to chief financial officers of UK Deposit Takers, on the remediation of prudential treatment of legacy instruments before the Capital Requirements Regulation I (CRR I) transition period ends.
Statement on the application of the temporary transitional power to CRD V and BRRD II derived legislation
13 November 2020
This statement confirms that no additional exceptions from the application of the transitional power are expected to be required in relation to onshoring changes to new rules and legislation implementing CRD V and BRRD II.
The PRA also added guidance documents to the temporary transitional power webpage, which support the draft transitional directions published as part of CP13/20 ‘UK withdrawal from the EU: Changes before the end of the transition period’.
Further information
Insurance publications and updates
Letter to general insurance firms ‘Insights from PRA review work on reserving and exposure management’
13 November 2020
Sarah Breeden sent a letter to chief financial officers of UK Deposit Takers, on the PRA’s review work on reserving and exposure management.
Further information
Also in the month
17 November 2020
17 November 2020
12 November 2020
9 November 2020
More information
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